Second Jobs: Are They Worth Taking?

Anyone who has been in financial straits has thought about the obvious solution: taking a second job. Other than decreasing one's expenses, increasing one's income is a sure way to help balance the budget. However, you have to take into account that a second job can come with hidden costs and may not be as profitable as you initially think. You may have been better off taking out payday advances for short-term budget shortfalls than taking on a second job.

Second jobs are wonderful ways to increase savings or pay off debts. Every dime you make is going to add to your bottom-line during the year. At the end of the year, the additional income may be sufficient to place you in a new tax bracket. If you did not withhold enough money or miscalculated the amount of taxes you would owe with a second job, the final tax bill may come as a complete surprise. Take the tax repercussions of adding a second job into your decision to increase your income. The new tax bracket won't just affect your second job; it will affect your first job's income as well.

Second jobs that require additional travel time and daycare costs also will increase your income but also your expenses. Uncle Sam won't count your travel time or gas costs as a deduction for your job. So, you may end up adding expenses and fitting yourself into a new tax bracket too. Be very careful what jobs you take when you are thinking of doing a second job and what all the expenses are that are associated with that new job. The key here is to make money, not owe it.

If the motivation for getting a second job is to meet the cost of a temporary emergency, you can use your first job to help you qualify for payday advances. These short-term loans are based on your employment history and not your credit history. First-time payday advances are often free.

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